Neon secures $80m to drive portfolio expansion

In order to provide millions of Brazilians with a “conscious path to credit,” Brazilian fintech Neon has funded $80 million in its first Credit Rights Investment Fund (FIDC), which is primarily focused on credit cards.

Neon has raised money twice this year in the private credit market. At the start of 2022, it raised more than $40 million for its private payroll deductible FIDC.

Emprica, which has a portfolio of more than 50 funds and more than $1.5 billion in assets under management, will be in charge of managing the new fund. The overall fund now stands at $170 million, and Neon says it anticipates that figure to double.

According to the fintech, the FIDC will enable the digital bank and fintech to increase their array of loan products “in a sustainable and balanced way.” The financing will also enable the business to use its technological resources and credit analysis models more effectively.

Neon CEO Jamil Marques says: “Today our credit engine is mature and the FIDC resources will give us the strength to continue expanding our portfolio.” Neon had a $270 billion loan portfolio at the end of 2021, and the FIDC will provide its growth plan with more flexibility.